Exam 2
Which of the following is one of the seven major criteria for the Baldrige award?
**results** Leadership: How upper management leads the organization, and how the organization leads within the community. Strategy: How the organization establishes and plans to implement strategic directions. Customers: How the organization builds and maintains strong, lasting relationships with customers. Measurement, analysis, and knowledge management: How the organization uses data to support key processes and manage performance. Workforce: How the organization empowers and involves its workforce. Operations: How the organization designs, manages and improves key processes. Results: How the organization performs in terms of customer satisfaction, finances, human resources, supplier and partner performance, operations, governance and social responsibility, and how the organization compares to its competitors.
There are four major phases in a project life cycle. Which of the following is NOT included?
*Maturity* (actual phases:Initiation, Planning, Execution and Closure.)
The process capability index is compared to a critical value to judge whether a process is capable. Firms striving to achieve six-sigma performance use a critical value of
2.0
Most experts on the costs of poor process performance and quality estimate losses in the range of ________ percent of gross sales for defective or unsatisfactory products.
20 to 30
In general, a less capital-intensive industry such as a hotel chain would do well with a utilization rate of
60-70%.
Which of the following is true about ISO 9001:2008, the standards governing documentation of a quality program?
A. Companies become certified by proving to a qualified external examiner that they comply with all the requirements. B. Compliance with ISO 9001:2008 standards indicates to customers that companies can provide documentation to support whatever claims they make about quality. C. Compliance with ISO 9001:2008 standards says nothing about the actual quality of a product. D. CORRECT **All of the above are true.**
Which of the following is an element of a deceptive business practice that presents a major concern for service or product quality?
A. The transaction is intended to generate a disproportionate economic benefit to the provider at the expense of the customer. B. The provider conceals the truth based upon what is actually known to the provider. C. The conduct of the provider is intentional and motivated by a desire to exploit the customer. D. CORRECT **All of the above.**
The methods of project management offer several benefits to project managers. Which of the following is NOT among them?
A. highlights the activities that may be delayed without affecting project completion dates B. forces project teams to identify and organize the data required C. helps managers analyze the time and cost implications of resource trade-offs D. **CORRECT**All of the above are benefits to project managers.
Which of the following statements about acceptance sampling is true?
Acceptance sampling is the application of statistical techniques to determine if a quantity of material from a supplier should be accepted or rejected.
Which of these activities is not a major component of the initial phase of planning and managing projects?
Analyzing time/cost tradeoffs
Anna's landscaping business has a capacity gap; which alternative can best be described as "simply to do nothing"?
Base-case strategy
A firm's internal program in employee involvement includes which of the following considerations?
Defining who the customer is
Which is the best statement regarding work breakdown structure?
Each activity in the WBS must have an "owner" who is responsible for doing the work.
The project duration in a network can be determined by the largest value of which variable associated with the critical path?
Earliest finish time
The ISO 14001:2004 standards require documentation of a firm's environmental program. Which component requires a plan to improve performance in resource use and pollutant output?
Environmental Management System
Long-term capacity planning deals with which of the following factors?
Investment in new facilities
A control chart typically does NOT show which of the following values?
Outer limit
In an environment where the planned activities have been accomplished previously, there are several ways of getting time estimates. Which of the following is the least useful?
Random number generator
The overall focus of TQM is always on the needs of the customer through a culture of continuous improvement and an active engagement and involvement of employees at all levels.
True
The Employee Involvement and Analytical Process Thinking intersection in the integrative view of TQM requires
a commitment to ongoing employee training in statistical tools and their usage
Chang and Chang observe that the competition is increasing the size of its warehouses. They have decided to do the same. They are following _______ strategy.
a follow the leader
What is the statement used to describe the proportion of defective items (outside of specifications) that the buyer will accept in a shipment?
acceptable quality level
The application of statistical techniques to determine whether a quantity of material should be accepted or rejected based on the inspection or test of a sample is known as
acceptance sampling.
Which of the following is considered one of the four major cost of quality categories?
appraisal
Input measures of capacity are preferred when there
are flexible flow processes.
A measure of the reserve capacity a process has to handle in unexpected increases in demand is the
capacity cushion
When evaluating alternative capacity decisions, qualitative concerns exclude
cash flow
A process failure that results in the process's inability to meet advertised performance standards violates which of the five definitions of quality?
conformance to specifications
The plan-do-study-act cycle illustrates
continuous improvement
Projects have a life cycle that consists of all of the following major phases except:
crashing
TQM stresses three principles for achieving high levels of process performance and quality. Which of the following is one of them?
customer satisfaction
An expansionist capacity strategy is NOT indicated when
expansion will lead to economies of scale
A functional organizational structure requires that the project be
led by a project manager who can negotiate assistance from personnel in other functional areas.
The Management Commitment/Leadership and Analytical Process Thinking intersection in the integrative view of TQM requires
management by fact, and not authority.
A process that is in statistical control ________ be producing services or products according to their design specifications.
may not
On which of the following topics should effective project tracking systems collect information?
open issues, risks, and schedule status
Training workers to do their jobs properly and working with suppliers to improve the quality of material they supply to you are examples of
prevention costs
Using input measures of capacity is least appropriate in which of the following situations?
product variety and process divergence is low
The organizational structure that simplifies the lines of authority and is particularly effective for large projects is
pure project
In the "facilitator" role, the project manager must
resolve conflicts between departments to ensure that the project has appropriate resources.
Which of the Baldrige criteria is given the most weight in selecting winners?
results
Waiting-line models often are used in capacity planning in order to
select an appropriate capacity cushion for a high customer-contact process.
Waiting-line problems that cannot be studied with waiting-line models must be analyzed with which analytical tool?
simulation
The Continuous Improvement and Employee Involvement intersection in the integrative view of TQM requires
that the employees are actually empowered to do their jobs and given autonomy in decision making
Resource allocation involves
the assignment of resources to the most important activities.
When plotting values on a control chart, the first point that falls outside of the lower control limit (LCL) means
the cause should be investigated
In acceptance sampling, if the sample passes the test then
the entire quantity of items is accepted
Which of the following was NOT a network planning method developed in the 1950s?
the network project analysis technique (NPAT)
Crash time is defined as
the shortest possible time to complete an activity.